Print Email Facebook Twitter Valorization of water hyacinth as a renewable source of animal feed and biogas: A business case for Lake Victoria, Kenya Title Valorization of water hyacinth as a renewable source of animal feed and biogas: A business case for Lake Victoria, Kenya Author Valk, V.A. Contributor Buxton, M.W.N. (mentor) Bastiaans, L. (mentor) Hogeweg, A. (mentor) Faculty Civil Engineering and Geosciences Department Geoscience & Engineering Programme Resource Engineering Date 2015-02-02 Abstract This thesis is conducted for Royal IHC and Witteveen+Bos. Royal IHC is a Dutch ship builder and Witteveen+Bos an engineering consultant. Both companies have encountered the problems of water hyacinth. Water hyacinth, Eichhorni Crasippus, is an aquatic weed which is widespread throughout the tropics and subtropics. It is an invasive species in most parts of the world and has a large impact on the local ecology, economy, livelihood and safety of people. Water hyacinth can be controlled by mechanical harvesting. Once the plant is harvested the biomass can be used as a resource. The aim of this research is to assess the potential value of the water hyacinth as a renewable resource and determine if it is economically feasible to process water hyacinth on an industrial scale, more than one hectare harvest a day. In order to assess the economic feasibility of water hyacinth usage, a literature study was conducted to evaluate the characteristics of the plant and define the processing options. Secondly a canvas business model and a cost-benefit analysis were made to assess the value chain and the theoretical feasibility of an investment in a large scale water hyacinth processing project. The final and third step was a business case based on a field trip to Kenya, to validate the theoretical business model and cost benefit analysis. Water hyacinth is a very fast growing plant which reproduces both sexually and vegetativly. The plant is so successful because it can adapt easily to its environment. The plant thrives in eutrophicated and polluted water bodies. In these water bodies heavy metals are taken up by the plant and these have to be taken into account for usage of the biomass. The biomass of water hyacinth can be used for three purposes 1) energy 2) agriculture and 3) industry. The biomass is least valuable when it is used for its minerals, for biogas and energy production. Based on the literature review it was found that water hyacinth can best be used for the production of 1) animal feed 2) biogas and 3) fertilizer. The business models for these three products were assessed because of the high value of the end products and the feasibility of production in developing countries. For the processing of water hyacinth into animal feed, the leaves and the roots should be separated as animal feed can only be produced from the leaves. The roots and shoots can be separated during harvest by specialized equipment. A business canvas was used to describe a business model for a company processing water hyacinth. The business models can vary because the location and water bodies where the weed grows are different. It was found that large scale processing is mostly feasible in big lake structures because of the availability of biomass. To evaluate if an investment in water hyacinth processing facilities is feasible the Net Present Value (NPV) was calculated. From the theoretical cost benefit analysis it could be concluded that water hyacinth processing is feasible for the production of animal feed, biogas and fertilizer. The production of electricity and compost is not economically feasible because of low prices and low efficiency. To validate the assumptions made for the theoretical business model a business case was conducted in Kisumu, Kenya. For the business case, market data was assessed on local markets and all main stakeholders were interviewed. The market prices found are variable. A Monte Carlo simulation was therefore conducted. It is concluded that a water hyacinth processing plant is economically feasible. The internal rate of return determined in the business case was higher than found in the theoretical model. This can be explained by high demand and prices for animal feed and cooking gas. There is a large milk deficit in the case study area and dairy projects are likely to be started. Animal feed is however a constraint in the area. Local governments are therefore interested in production of animal feed from the weed. The local authorities are also interested in removal of water hyacinth because of the negative impacts of the plant, in particular the blocking of waterways. There is however no budget for removal of the plant. Water hyacinth usage is not propagated by the national government because of concerns that the problem of water hyacinth will increase if a commercial use is found. The plant is not abundant throughout the year in Lake Victoria because it infests the lake in cycles. It is concluded that it is economically feasible to process water hyacinth into animal feed, biogas and fertilizer. Using water hyacinth to produce agricultural products will stimulate agriculture development and use nutrients to the best potential. Year round availability of water hyacinth for processing is however a problem. Cultivation of water hyacinth and alternative biomass sources need to be assessed. The processing of water hyacinth into animal feed is particularly recommended because it is the most valuable product. There will also be opportunities in the future for animal feed because of expected scarcity of animal feed. More research is needed for adapting harvesting equipment. For a pilot project a partner has to be selected as water hyacinth processing is not the core business of IHC or Witteveen+Bos. Partnerships with corporates in the feed and dairy industry should be evaluated. The whole value chain can then be established by processing water hyacinth into animal feed. Subject water hyacinthbiomass processingcanvas business modelbiogasanimal feedaquatic weed harvest To reference this document use: http://resolver.tudelft.nl/uuid:415bce32-3782-49ba-99ce-1a433d826143 Part of collection Student theses Document type master thesis Rights (c) 2015 Valk, V.A. Files PDF MSc_Thesis_ValkVA.pdf 2.18 MB Close viewer /islandora/object/uuid:415bce32-3782-49ba-99ce-1a433d826143/datastream/OBJ/view